Levendary Caf: The

China Challenge
PRESENTED BY QUYNH-DAO VUONG
SM EXPERT
Major Issues in China

Deciding about global standardization vs. local

adaptation in the Chinese Market
The company is torn between standardization and
adaptation.
Differences in Accounting Reporting Standards
Operations in US and China have different accounting
systems.
The future of Chen in Levendary Caf
Board is frustrated by Louis Chen in China
Goals in China

Expanding the Chinese Market

The firm needs to meet the needs of the Chinese.
Ensure proper management techniques
Chen needs to do things according to strategy
Adopting GAAP standards
To ensure proper accounting reporting systems and
appropriate management techniques
Plan for Expansion and Growth in China

Embrace a local adaptation strategy for market

penetration
Adaptation is a marketing strategy where new products or
services are modified based on existing products and
services.
In order to meet the needs of international customers, the
firm may need to adapt its product to suit individual or
regional markets.
Fix Louis Chen

He is a valuable asset in Chinese Operations.

He possesses knowledge of the local market and is aware
of the avenues of growth in the market development
strategy.
The top management should however remind him of his
duties to inform the company on his progress; and ask for
insight where risky decisions are involved.
Action Plan to Actualize Strategy

1. Conduct a feasibility study on adaptation strategy in

China
2. Develop a new business plan for China operations
3. Put together the necessary resources to actualize the
strategy
4. Implement the Strategy
THE END